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Nippon Shikizai, Inc. (JP:4920)
:4920
Japanese Market
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Nippon Shikizai, Inc. (4920) AI Stock Analysis

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JP:4920

Nippon Shikizai, Inc.

(4920)

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Neutral 54 (OpenAI - 5.2)
Rating:54Neutral
Price Target:
¥1,141.00
▲(0.00% Upside)
Action:Reiterated
Date:08/04/26
The score is held back primarily by financial risk: high leverage combined with weakening cash flow and negative recent free cash flow, alongside a recent revenue and margin downturn. Technicals are neutral-to-soft with limited trend support and a negative MACD. These are partly offset by an attractive valuation (low P/E and a moderate dividend yield).
Positive Factors
Profitability Recovery
The return to sustained EBIT and net income indicates that the business has restored operating viability after prior losses. This provides a stronger base for funding operations, retaining earnings, and absorbing moderate industry or demand volatility.
Negative Factors
High Financial Leverage
Leverage remains high relative to the equity base, limiting financial flexibility and increasing sensitivity to weaker earnings or higher funding costs. If operating performance deteriorates, debt obligations could constrain investment and delay balance-sheet repair.
Read all positive and negative factors
Positive Factors
Negative Factors
Profitability Recovery
The return to sustained EBIT and net income indicates that the business has restored operating viability after prior losses. This provides a stronger base for funding operations, retaining earnings, and absorbing moderate industry or demand volatility.
Read all positive factors

Nippon Shikizai, Inc. (4920) vs. iShares MSCI Japan ETF (EWJ)

Nippon Shikizai, Inc. Business Overview & Revenue Model

Company Description
Nippon Shikizai, Inc. operates as a cosmetic company with a global reach, focusing on the innovation, production, and distribution of beauty products both domestically in Japan and across international markets. Their comprehensive catalog includes...
How the Company Makes Money
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Nippon Shikizai, Inc. Financial Statement Overview

Summary
Profitability has recovered versus 2021–2022 with positive EBIT and net income in 2023–2026, but 2026 shows a notable revenue decline and margin compression. Balance sheet leverage is high (debt-to-equity roughly ~2.6–3.5), and recent cash generation is a key weakness with negative free cash flow in the last two annual periods.
Income Statement
56
Neutral
Balance Sheet
44
Neutral
Cash Flow
34
Negative
BreakdownTTMFeb 2026Feb 2025Feb 2024Feb 2023Feb 2022
Income Statement
Total Revenue17.18B16.64B17.63B15.05B11.76B8.70B
Gross Profit2.28B2.20B3.02B2.75B2.03B1.41B
EBITDA1.15B1.12B1.40B1.32B975.73M517.34M
Net Income335.96M335.39M216.30M398.11M246.29M-122.03M
Balance Sheet
Total Assets18.05B17.57B16.95B17.16B16.05B15.35B
Cash, Cash Equivalents and Short-Term Investments942.78M1.09B949.02M1.39B1.33B1.32B
Total Debt10.08B9.88B9.73B9.51B10.04B10.22B
Total Liabilities13.86B13.32B13.15B13.63B13.04B12.40B
Stockholders Equity4.19B4.24B3.80B3.53B3.01B2.95B
Cash Flow
Free Cash Flow0.00-558.29M-572.15M591.79M341.59M541.45M
Operating Cash Flow0.00140.19M567.79M1.25B615.40M781.34M
Investing Cash Flow0.00118.67M-1.11B-438.36M-252.81M-187.87M
Financing Cash Flow0.00-179.28M95.46M-697.50M-413.11M-338.23M

Nippon Shikizai, Inc. Technical Analysis

Technical Analysis Sentiment
Negative
Last Price1141.00
Price Trends
50DMA
1126.46
Negative
100DMA
1128.83
Negative
200DMA
1121.74
Positive
Market Momentum
MACD
3.92
Negative
RSI
49.56
Neutral
STOCH
55.56
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:4920, the sentiment is Negative. The current price of 1141 is above the 20-day moving average (MA) of 1126.60, above the 50-day MA of 1126.46, and above the 200-day MA of 1121.74, indicating a neutral trend. The MACD of 3.92 indicates Negative momentum. The RSI at 49.56 is Neutral, neither overbought nor oversold. The STOCH value of 55.56 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:4920.

Nippon Shikizai, Inc. Peers Comparison

Overall Rating
UnderperformOutperform
Sector (55)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
78
Outperform
¥103.34B19.308.32%3.53%6.47%75.47%
77
Outperform
¥167.37B21.085.00%1.03%5.17%
74
Outperform
¥6.53B9.602.29%0.16%6.35%
66
Neutral
¥36.54B23.781.81%2.42%5.27%
65
Neutral
¥5.35B29.171.68%3.17%-27.27%
55
Neutral
$6.65B3.83-15.92%6.20%10.91%7.18%
54
Neutral
¥2.36B6.832.70%3.05%184.11%
* General Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
JP:4920
Nippon Shikizai, Inc.
1,114.00
77.19
7.44%
JP:4919
Milbon Co
3,270.00
855.34
35.42%
JP:4923
Cota Co., Ltd.
1,255.00
-42.06
-3.24%
JP:4925
HABA Laboratories, Inc.
1,727.00
17.85
1.04%
JP:4926
C'BON COSMETICS Co., Ltd.
1,250.00
65.78
5.55%
JP:4928
Noevir Holdings Co., Ltd.
4,935.00
557.89
12.75%
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Aug 04, 2026